I admit I pirate a few movies TV shows I watch. It's just a hell of a lot more convenient. I tivo most shows, but occasionally it won't record one (it missed a new lost episode two weeks ago) so rather than wait for it to air again I just downloaded it off of a torrent. When I want to watch a new show that has already gone through several episodes, I'm not going to wait for them to air in sequence again, or to come out on netflix; I'll just download them instead.

The occasional time I want to watch a movie in high def, and it's a really really good movie with good visuals (e.g. the dark knight) I can't stand the crappy compression and crappy seeking netflix live streaming does, and because of DRM I can't play the blu-ray in XBMC. I like XBMC because it isn't picky about what kind of remote I use (I use my tivo's remote control) it has excellent seeking (8 second back and 30 second skip work beautifully, whereas crap software like powerdvd doesn't even support these that well) and its renderer is VERY good. Oh and I CAN SKIP THE GOD DAMNED PREVIEWS.